class = “sc-cffd1e67-0 iQNQmc”>
As UBS announced on Thursday, the industrial PMI rose slightly (+0.1 points) to 43.1 points in January but remained below the growth threshold for the thirteenth consecutive year. It calculates the index together with Procure.ch, the Swiss purchasing and supply management association. Economists surveyed by the AWP news agency expected a little more and predicted that the index would be between 44.0 and 45.2 points.
The low point in the current cycle was 38.5 points in July, when it fell to its lowest level since 2009. For PMI, values of 50 points and above indicate growth, while values below 50 points indicate a decline in the economy.
According to UBS, the threat from Yemen’s Houthi rebels to shipping in the Red Sea and thus to freight traffic between Europe and Asia has remained modest so far, although this is seen in the delivery times sub-component.
Meanwhile, the situation in the service sector for the domestic economy continues to get significantly better. PMI in this area decreased by 2.3 points to 54.6 points in January, but remains above the growth threshold for the sixth consecutive year. The decline was also put into perspective, as the index gained a surprising 3.3 points in December.
PMI services are still above last month’s level. UBS interprets this development as a high probability that service providers are still on the growth path. (SDA)
Source :Blick
I’m Tim David and I work as an author for 24 Instant News, covering the Market section. With a Bachelor’s Degree in Journalism, my mission is to provide accurate, timely and insightful news coverage that helps our readers stay informed about the latest trends in the market. My writing style is focused on making complex economic topics easy to understand for everyone.
